Engineering Supply Chain Resilience: SCRM - Lecture 4
Engineering Supply Chain Resilience: SCRM - Lecture 4
Engineering Supply Chain Resilience: SCRM - Lecture 4
resilience
SCRM – Lecture 4
Resilient Supply Chain - Definition
• Work undertaken by the World Economic Forum’s Risk Response Network
identifies a resilient supply chain as a system which can be returned to its
original state after a major disruption (WEF 2013a).
• In fact some analysts go further suggesting that resilience should include the
ability of a supply chain to maintain output at close to potential throughout and
in the aftermath of a major shock.
• To do so not only maintains levels of customer service but also can deliver a
competitive advantage over supply chains which are not able to cope with the
shock so well.
Visibility/Ethos/Collaboration/ JIT-JIC
Supply Chain Resilience
• Resilience implies an agile supply chain:
• collaboration – active involvement with suppliers and suppliers’ suppliers;
• ethos – information sharing and supply chain intelligence;
• strategy – awareness of emerging trends and issues which may impact on
supply chain;
• tactical response – impact on an operational level; demand, supply, process
and control risk;
• operations – supply chain event management.
• NOTE 2 Risk treatments that deal with negative consequences are sometimes referred to as
“risk mitigation”, “risk elimination”, “risk prevention” and “risk reduction”.
Risk treatment can create new risks or modify existing risks.
ISO 31000 - Terms & Definition (Cont.)